Ever wanted to buy goods from the US, but gave up when you got to the realised what the shipping fee would be?
I know I've gone through the process of ordering something online from a US store, then got to the order part and realised the shipping charge was, in some cases, multiples of the price of the product.
Well, Australia Post has started a new service that could put an end to that.
The ShopMate service allows subscribers to have their parcels sent to their "US Address", actually an Australia Post warehouse in Oregon, and then forwarded to their Australian address, for a fraction of the usual shipping rates.
Australia Post will charge a base rate of $24.95 per parcel, with a weight rate of $5.95 per 500 grams. As an example, you could order a pair of men's or women's sneakers and pay around $60.65 for delivery.
Even better, if you order more than one parcel, you get a discount of $10.00 off each subsequent parcel. Items shipped via ShopMate are automatically covered for loss or damage, up to the value of $5,000, but shoppers can add extra insurance if needed.
Unfortunately, if you want to order an item longer than 1.05 metres in length, you're out of luck. Looks like I won't be ordering that new Sony widescreen television anytime soon.
And then there's the list of dangerous and prohibited items you can't buy, including ink cartridges, precious metals and gemstones, alcoholic products or beverages and nail polish.
Still, I imagine many shoppers may jump at the chance to order goods from US stores, given the prices consumers are charged in Australia. But it does seem a little strange that a government organisation is encouraging Australian shoppers to shop overseas.
What it may also cause is an an uproar from Australian retailers, including the likes of Myer Holdings Limited (ASX: MYR), JB Hi-Fi Limited (ASX: JBH), Dick Smith Holdings Limited (ASX: DSH) and OrotonGroup Limited (ASX: ORL).
You could certainly imagine products that show the widest range in prices between Australia and the US, such as consumer electronics products and fashion items will be amongst the most popular packages.
